Abstract:
Purpose –
This paper aims to investigate corporate internet reporting (CIR) by Kenyan and Tanzanian
listed companies and whether the level of CIR is related to corporate governance structures.
Design/methodology/approach – The authors collect data over a four-year period from companies
listed on the Nairobi Securities Exchange and the Dar es Salaam Securities Exchange. Panel data
models (random effects) are used for the analysis.
Findings – The results indicate that the level of CIR in both countries is high, but the highest in Kenya.
The authors find that CIR increases with foreign ownership, audit committee independence and financial
expertise but decreases with domestic ownership concentration. They also show that the effects of
ownership concentration are moderated by country-specific factors. Overall, the results demonstrate that
effective governance structures may lead to higher levels CIR in sub-Saharan Africans.
Originality/value – This study extends, as well as contributes to the existing literature by the examining
the corporate governance-disclosure nexus relating to CIR in sub-Saharan Africa. These findings have
policy implications for African countries looking to attract foreign investment.
Keywords Kenya, Corporate governance, Tanzania, Ownership concentration, Board structures,
Corporate internet reporting
Paper type Research paper
